REUTERS stock fell 7 per cent after the company made a disappointing statement. The financial information provider, said first-quarter sales growth slowed to 5 per cent, below forecasts, on lower revenue from its foreign exchange trading systems.

Reuters reorganised last year to cut costs as mergers and cutbacks in the financial industry and a slowdown in emerging markets threatened sales growth. The company said it expects the benefit of cost cutting to come through in the second half, while warning that it remains "cautious about revenue growth for the rest of this year". The figures caused some analysts to lower 1999 forecasts, concerned that the shortfall in revenues will continue.